Silver: Triangle in process

Silver has been forming a large triangle since the last one year. The trading range has been narrowing since then. The adjoining chart is the weekly chart of silver. As per the Elliott wave principle, triangles are formed in wave 4 of an impulse and in wave b of a correction. Our sense is that silver is in an uptrend and this is a wave 4 in silver. This means that a 5th wave on the upside is pending. One should expect silver to trade with a positive bias on the upside in the medium term. In the short term silver is expected to trade in a narrow range. The supports for silver are placed at Rs52,800 and Rs51,200. Resistance is around Rs56,100 which is the 20-week simple moving average.